Physical vs Digital Gift Cards: A Thorough Competitive Analysis
Dari seorang pria penghuni gua yang memberikan sepotong batu kecil yang mengkilap kepada seorang wanita hingga modus pemberian hadiah digital yang sangat modern, tradisi pemberian hadiah-ekspresi terindah untuk menunjukkan rasa terima kasih, cinta, dan rasa hormat kepada sesama manusia-telah melalui jalan yang panjang.
And like a rule of concomitance, corporate gifting hasn't been left untouched by it. In fact, one needs to acquire special blindness to ignore the growing sway that digital gifts have on the current world, both personal and professional.
In this blog, we will thoroughly explore the differences between physical and digital gift cards and how digital gift cards outperforms physical ones.
What is a physical gift card?
Physical gift cards are tangible, preloaded cards—usually made of plastic or thick paper—that carry a specific monetary value and can be used as a form of payment at designated retail stores, restaurants, or online platforms.
They often feature a barcode, magnetic strip, or unique code for redemption and are commonly used for personal or corporate gifting, offering recipients the flexibility to choose what they want to buy.
➼ The global gift card market is projected to grow from $1.09 trillion in 2023 to $1.29 trillion in 2024v, reflecting a compound annual growth rate (CAGR) of 18.4%. This surge is attributed to the rise in e-commerce, increased disposable income, and greater adoption of mobile payments.
➼ A significant trend in 2024 is the rapid rise of digital and e-gift cards. As digital payments and e-commerce grow, more consumers are opting for the convenience of virtual gift cards, which can be delivered instantly and are easier to use via mobile apps and online platforms.
➼ The global digital gift card market size reached USD 453.4 billion in 2024 and is expected to grow at a CAGR of 13.32% to reach USD 1,531.5 billion by 2033. This growth is driven by the expanding e-commerce sector and the increasing adoption of digital gift cards for their convenience and flexibility.
What is a digital gift card?
A digital gift card, also known as an electronic, virtual, or mobile gift card, is a virtual gift option that enables one to redeem the gift of choice on electronic platforms. It can be in the form of codes or reward-based links and sent to the recipient via phone or email.
Kartu hadiah digital berfungsi seperti kartu hadiah biasa. Tergantung pada penjual kartu, Anda dapat menggunakan kode ini secara online dan di toko. Perhatikan bahwa ini adalah alternatif yang valid untuk uang tunai.
Terlepas dari kemudahan mengirim dan menerima, kartu hadiah digital membawa nilai penting bagi pengirim (perusahaan) dan penerima (karyawan, pelanggan, mitra).
Physical vs. digital gift cards: The difference
When you compare this mind-boggling acceptance and growth of digital presents to physical gift cards — a steady 6%, even the slightest doubt about the former's supreme rein will vanish as quickly as vapor. What is making digital gift cards so popular among corporates and non-corporates alike?
Here is a short comparison:
|
Fitur |
Kartu Hadiah Fisik |
Kartu Hadiah Digital |
|
Delivery Time |
Physical gift cards can take days or even weeks to reach the recipient due to printing, packaging, and courier delays. |
Delivered instantly or scheduled for a specific time, offering speed and flexibility. |
|
Time Consumption |
High—managing inventory, packaging, dispatch, and tracking takes significant effort and coordination. |
Low—digital gifts can be sent within minutes, even to large groups, using automation. |
|
Redemption Method |
The recipient needs to visit a store or enter the card manually, which can be cumbersome. |
Recipients can redeem instantly online or in-store using the code, link or points. |
|
Gift Choice Limitations |
Often restricted to a particular brand or store, which may not suit every recipient. |
Offers access to a wide catalog—recipients can choose gifts that suit theirii5 preferences. |
|
Customization Options |
Limited personalization—usually just the printed message or card design. |
Extensive options—custom messages, themes, values, and branding for events or occasions. |
|
Risk of Loss/Damage |
Cards can be lost, stolen, or damaged before use, leading to customer dissatisfaction. |
Minimal risk—digital gifts are stored in email, SMS, or apps and can be reissued. |
|
Environmental Impact |
Involves plastic, paper, and carbon emissions from logistics—less eco-friendly. |
Eco-conscious—eliminates the need for printing, packaging, and delivery vehicles. |
|
Skalabilitas |
Hard to scale—bulk ordering, warehousing, and shipping logistics make mass gifting slow. |
Highly scalable—perfect for large teams, global customers, or survey incentives. |
|
Cost of Distribution |
Includes printing, packaging, shipping, and handling—adds up quickly. |
Very low—most platforms only charge for the value of the gift and optional platform fees. |
|
Integration with Digital Tools |
Limited or no ability to plug into HR, CRM, or loyalty platforms. |
Seamlessly integrates with CRMs, HRMS, rewards, and loyalty systems via APIs. |
|
Pelacakan & Pelaporan |
Manual tracking is required, which increases errors and slows down reconciliation. |
Digital tools provide real-time tracking, redemption reports, and performance insights. |
|
Ideal Use Case |
Great for in-person events, luxury presentations, or traditional corporate gifting. |
Ideal for remote workforces, real-time recognition, and global incentive programs. |
Why are digital gifts better than physical gifts?
Here are ten reasons that justify why digital gifts are better than physical gifts:
1. Cakupan yang sangat luas untuk personalisasi
The perceived value of the gift generates deeply from the personal connection that it evokes, and countless studies staunchly support it.
- Consumer demand for personalization: Deloitte's 2024 Consumer Loyalty Survey indicates that consumers increasingly seek personalized, flexible, and digital-centric loyalty programs.
- Personalization enhances customer loyalty: A report by Forrester reveals that consumers value personalized experiences that are relevant and valuable, suggesting that personalization efforts can significantly impact customer loyalty.
- Personalization as a competitive advantage: Gartner's insights suggest that companies leveraging consumer trends to create personalized and engaging customer experiences see higher customer satisfaction and loyalty.
Dengan kebebasan untuk mengatur denominasi mereka dan tidak harus terpaku pada jumlah yang telah ditentukan, memodifikasi semua elemen kartu hadiah dari wajah hingga dasi kupu-kupu seremonial untuk "membuka" kartu, pengirim dapat mencapai tingkat personalisasi yang paling memungkinkan dengan hadiah virtual.
2. Kepuasan instan membuat hambatan geografis menjadi tidak signifikan
Kartu hadiah digital dikirim ke penerima melalui SMS, email, atau aplikasi pemberian hadiah khusus. Kartu ini menjamin pengiriman yang instan dan langsung - menjadikan kartu hadiah digital sebagai pilihan terbaik jika karyawan atau klien Anda tinggal di negara atau benua lain.
Perhatikan bahwa hal ini tidak hanya menyelamatkan Anda dari penundaan yang dapat dipicu oleh masalah lintas batas. Anda juga menghilangkan kebutuhan karyawan dan klien Anda untuk pergi ke toko dan berdiri dalam antrean panjang yang mengular untuk menukarkan hadiah.
Yang mereka butuhkan hanyalah beberapa klik, dan hadiah pilihan mereka akan segera tiba. Selain itu, platform pemberian hadiah digital seperti Plum menawarkan layanan multibahasa, sehingga Anda dapat membuat hadiah dan pesan yang dipersonalisasi tanpa perlu takut salah diterjemahkan.
3. Biaya rendah, prospek efek yang tinggi
Bayangkan mengirimkan ribuan hadiah fisik kepada ribuan karyawan/klien yang berada di lokasi yang berbeda?
Starting from acquiring gifts that suit each persona to putting it in inventory; and from ensuring the right last-mile delivery through third-party delivery partners to handling the return of gifts in case the address is wrong or non-updated, the cost is written everywhere.
The size of recipients, on the contrary, is an ineffectual aspect for the sender of digital presents. The sender just needs to send codes or links to the recipients, costing zilch to the company. Similarly, it’s much cheaper than replacing the wrong email id in the system than to face the extra ride due to the wrong physical address.
4. Ide untuk hadiah di menit-menit terakhir
Betapapun rapi perencanaan program pemberian hadiah perusahaan Anda dengan semua nama penerima dan acara yang biasa dilakukan, kebutuhan akan hadiah di menit-menit terakhir bisa membuat suasana berubah menjadi biru.
Tim penjualan Anda mungkin telah mendapatkan jumlah yang besar dari prospek yang tidak terlalu cemerlang, atau perusahaan klien Anda yang terhormat mungkin telah berada di podium untuk menerima penghargaan bisnis yang luar biasa.
These achievements are, by all stretches of the imagination, worthy of a gift from you. But the caveat is that you hadn’t roped in this possibility in your gifting planning, putting you on the verge of missing out on a really deserving gifting opportunity.
Digital gift cards are the actual savior, in the rightest possible meaning of the word, in this crisis-like situation. Where traditional gift cards get delivered within 6 to 8 days, digital gift cards land in the digital premises of receivers within 24 hours.
Also, through automation, they steer you out of the disaster of missing out on key gift-worthy events.
5. Tidak ada kemungkinan salah menempatkannya
Salah satu hal terbaik tentang kartu hadiah digital adalah kartu ini tidak dapat dihapus. Kartu-kartu ini tersimpan secara permanen di email dan pesan Anda. Ini sangat melegakan bagi karyawan/klien Anda yang khawatir akan kehilangan kartu atau uang tunai mereka.
Note that 40% of 18 to 29-year-olds agreed to losing their physical gift cards right before they wanted to spend it.
"Electronic gift cards are definitely harder to lose. It can exist in your email, as opposed to a piece of plastic that may or may not make it into your wallet."
6. Mudah untuk ditingkatkan
Karena sebagian besar platform hadiah digital berbasis API, menambahkan kategori hadiah yang sama sekali baru dan vendor masing-masing tidak terlalu memakan waktu dan biaya. Pengembang dan teknisi sistem dapat melakukan integrasi dalam beberapa hari, sehingga mengurangi waktu peluncuran ke pasar.
The greatest advantage of this time efficiency is it lets you grasp the pulse of gifting trends, what your employees/customers want as a corporate gift, and make changes in your gifts profile. This makes your gifting endeavor more relevant and highly desirable to the recipients.
7. Risiko penipuan dan penyalahgunaan yang lebih rendah
Karena informasi pada kartu hadiah digital dibuat pada saat pembelian dan dikirim langsung kepada Anda atau penerima, kecil kemungkinan Anda menjadi korban penipuan kartu hadiah yang populer, yaitu skimming kartu hadiah.
Moreover, you pay only for the gifts that have been redeemed - and all these transactions are available to you in real time. If you notice any discrepancy of any type, you can connect with the digital gift platform’s customer service and get the doubts ironed out.
8. Mereka ramah lingkungan
Where climate change is becoming a reality rather than fiction, and natural catastrophes are hitting us with the regularity of a pendulum, preserving natural resources is key to our planet's sustenance.
Kartu hadiah fisik merupakan hal yang berlawanan dengan itu:
- Mereka menuntut penebangan pohon-pohon yang berharga untuk pembuatan kartu plastik, yang berfungsi sebagai voucher sekali pakai.
- Pengiriman hadiah secara fisik mencemari dunia dibandingkan dengan hadiah digital.
- Kartu hadiah digital tidak harus dicetak di atas plastik atau kertas, sehingga menghindari pemborosan sumber daya alam.
Dengan pertimbangan mikroskopis dari persyaratan iklim ini, manfaat yang dijamin oleh kartu hadiah digital tidak dapat disorot dengan lebih tepat.
How to send a digital gift card
Mengirim kartu hadiah digital, dalam kondisi apa pun, tidak akan memakan waktu lebih dari satu menit. Berikut adalah langkah-langkah untuk mengirim kartu hadiah.
To send a digital gift card, begin by choosing a gift card from a trusted platform that offers variety and convenience. Select the brand and value, add a personalized message, and enter the recipient’s email or mobile number. You can send it instantly or schedule it for a later date. It’s a quick, thoughtful, and hassle-free way to show appreciation.
Xoxoday Plum empowers you with access to a vast global catalog of digital gift cards, along with seamless delivery options and full control over personalization, tracking, and reporting—making it the perfect platform for effortless and impactful gifting at scale.
The Smart Shift: How digital rewards drive real results
Kantar, a leading global data insights and consultancy firm, faced a familiar challenge—how to motivate survey respondents at scale while streamlining the reward process. By switching to digital gift vouchers by Xoxoday Plum, they gave participants the freedom to choose from over 21,000+ reward options across 100 countries. In just three months, they successfully delivered rewards worth over $3.32 million, all while eliminating the inefficiencies of manual reward distribution.
Kantar’s success story is a clear indicator of where corporate gifting is headed—toward digital, scalable, and personalized experiences.
This shift is not just practical—it’s strategic. Whether you’re managing survey incentives, customer gifting, or employee recognition, Plum offers you a powerful digital reward platform that combines global reach with seamless automation. Customize rewards, simplify workflows, and elevate every interaction—without the friction of logistics or manual processes.
Ready to transform your reward strategy like Kantar did? Schedule a free demo and we will get you started!